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[POLITICS] · Germany · 10 sources

Germany to mandate pension contributions for minijob workers

The German government plans to require all workers in mini‑jobs – an estimated 7 million people – to make compulsory contributions to the statutory pension scheme. The reform removes any option to opt‑out. For jobs paid up to €603 a month, the employer’s share will remain at 3.6 % (about €22), while private‑household employers will pay 5 % and the employee will bear a 13.6 % charge – roughly €82 per month. In return, retirees will receive an additional €5 per month for each year of contributions, a sum critics say is negligible compared with the extra cost to low‑income earners. The policy is presented as a measure to prevent old‑age poverty, but opponents argue it amounts to a new tax on people whose earnings are already minimal.